Record first-half profits at Wal-Mart

US retail giant Wal-Mart yesterday posted record first-half profits but warned higher fuel prices were taking their toll on customers.

The company saidnet sales rose 9.8% to $147.7 billion (€119.73bn) in the first six months, while net profits lifted 9.3% to $5.3 billion (€4.3bn).

President and chief executive Lee Scott said results were “disappointing” earlier in the group’s second quarter, but July was stronger than expected.

“Wal-Mart stores did miss their plan as our customer continues to be impacted by higher gas prices,” he said.

Wal-Mart owned Asda - the UK’s second biggest grocer - recently unveiled a radical shake-up that cost hundreds of management posts, allowing it to invest in more than 2,000 shop floor jobs.

Recent figures appeared to show its performance was stabilising, with its share of the UK grocery market rising to 16.6% in the 12 weeks to July 17 from 16.4% the previous month.

Wal-Mart said that second-quarter international operating profits were hit by a one-off $36 million (€29.13m) charge for restructuring in Britain.